In the wake of the 2006 "east-west" crisis in Timor-Leste, the 2007 Presidential and Parliamentary elections were widely heralded as a key test of political development in the newly independent nation. This article analyses the pre-election situation, significant electoral law changes, the emergence of new political parties, campaign incidents, poll results, and postelection negotiations over a coalition government. It concludes by reflecting on some of the wider implications for political stability in Timor-Leste, and related developments through 2008.(1).